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Asian Supply Base mulls expanding business operation to Sabah

15/05/2022 07:47 PM

LABUAN, May 15 (Bernama) -- Labuan-based Asian Supply Base Sdn Bhd (ASB) is looking into the possibility of expanding its business operation to certain parts of Sabah.

The Sabah government-linked company (GLC) has received support from the state’s Industrial Development Ministry in terms of facilitation. 

Its Minister Datuk Dr Joachim Gunsalam said his ministry was prepared to allocate suitable land for ASB to expand its supply base operation in Sabah.

“We don’t foresee any obstacle for ASB to expand its logistics supply base to Sabah, and ideally in the state’s premier industrial park dedicated to oil and gas (O&G) downstream activities, namely the Sipitang Oil and Gas Industrial Park (SOGIP).

“...or ASB can also look at the possibility of expanding its supply base in the Lahad Datu Palm Oil Industrial Cluster (POIC Lahad Datu) or in Sandakan...We can facilitate in the area of providing suitable land for its base operation,” he said after visiting Asian Supply Base here, today.

Dr Joachim who is also Sabah Deputy Chief Minister III said ASB’s proposed expansion to Sabah was timely in view of Petroliam Nasional Bhd’s (Petronas) natural gas exploration at the shoreline of Sabah's east coast.

Incorporated in 1984, ASB is a fully integrated logistics hub with more than 139.4 hectares of developed land area, with focus exclusively in providing facilities and services that are tailored to the requirements of O&G companies involved in exploration, development and production activities.

ASB chairman Datuk Suhaili Abdul Rahman said ASB was prepared to expand its supply base operation to Sabah owing to its expertise and experience.

“Being a fully-owned GLC of the Sabah government, we (ASB) are ready to take order for the expansion…and we will mobilise our team to maximise the company's revenue in the O&G sector,” he said.

Suhaili said, since its operations in Labuan for over three decades, the Sabah investment arm has created thousands of employment opportunities for the locals in Labuan and Sabah as well as support business activities.

He said a total of 88 O&G-related international and domestic companies are currently operating in ASB’s operation base, with 16 of them being petroleum arrangement contractors and the remaining 71 are non-petroleum arrangement contractors.


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